A REPORT ON: MEDIA AND ENTERTAINMENT

SECTOR

Bachelor of Business Administration

2014-2017

Submitted by: Guided by:

D.A. BLINKHURAM (39) Prof. WISTON BRIKNADE

Contents:
Serial No. Topic

1. Abstract

2. Introduction

3. Objectives

4. Literature review

5. CSR

7. Data Analysis

8. Findings

9. Conclusion

10. Reference
Abstract:

The aim of this study is to:

a. Highlight the most important guidelines and practices of quality in the media
and entertainment industry.

b. Organize such guidelines and practices to create a guide to pave the way for
other researchers who would like to dig deeper into these guidelines and practices.
Introduction:

The media and entertainment industry in India consists of many different segments under
its folds such as television, print, and films. It also includes smaller segments like radio,
music, OOH, animation, gaming and visual effects (VFX) and Internet
advertising. Entertainment industry in India has registered an explosive growth in last two
decades making it one of the fastest growing industries in India. From a single state owned
channel, Doordarshan in the 1990s there are more than 400 active channels in the country
Indians are likely to spend more on entertainment in the coming years with a steady growth in
their disposable income. And as per the combined survey report by KMPG and FICCI, the
entertainment industry in India is expected to expand by 12.5% every year and is likely to
reach US$20.09 billion by the year 2013. The industry pegged at INR 5808 billion in 2009 as
compared to INR 3565 billion in 2005. The Indian Media & Entertainment Industry grew
from US$12.9 billion in 2009 to US$14.4 billion in 2010, a growth of 11 per cent, according
to a report by the Federation of Indian Chambers of Commerce and Industry (FICCI) and
research firm KPMG.
Importance:
The Indian media & entertainment sector is expected to grow at a Compound Annual Growth
Rate (CAGR) of 14.3 per cent to touch Rs 2.26 trillion (US$ 33.9 billion) by 2020, while
revenues from advertising is expected to grow at 15.9 per cent to Rs 99,400 crore (US$ 14.91
billion).

Over FY 2015-20, radio will likely grow at a CAGR of 16.9 per cent, while digital
advertising will grow at 33.5 per cent. The largest segment, India’s television industry, is
expected to grow at a CAGR of 15 per cent, while print media is expected to grow at a
CAGR of 8.6 per cent.!

India is one of the highest spending and fastest growing advertising market globally. The
country’s expenditure on advertising is estimated at 15.5 per cent in 2016, and is expected to
grow by 11.2 per cent in 2017, based on various media events like T20 Cricket World Cup,
the Indian Premier League (IPL) and State elections. Television segment, which continues to
hold highest share of spending, is expected to grow by 12.3 per cent in 2016 and 11 per cent
in 2017, led by increased spending by packaged consumer goods brands and e-commerce
companies.

The Foreign Direct Investment (FDI) inflows in the Information and Broadcasting (I&B)
sector (including Print Media) in the period April 2000 – December 2016 stood at US$ 6.3
billion, as per data released by Department of Industrial Policy and Promotion (DIPP).

The industry has been largely driven by increasing digitisation and higher internet usage over
the last decade. Internet has almost become a mainstream media for entertainment for most of
the people
 Objectives:

The study of this topic has been undertaken with a number of objectives. Following are the:

 To find the CSR activities done by companies in energy sector.

 To learn about the profit percentage used in corporate social responsibilities.
 To learn about the importance of ethics in the companies and know if there is proper code of
conduct prescribed
 To analyze data of different companies on the basis of their turnovers and profits
 To understand Indian Media & Entertainment sector and find out the practices adopted by the
leading companies regarding promotion strategy, their effects and difficulties faced in it by
the selected companies.
 On the basis of study, to summarize the findings and give suggestions for further
improvement in sales promotion strategy/CSR practices and its contribution in achieving
objectives
LITERATURE REVIEW
Urban And Rural Trends:

 PE major Warburg Pincus has purchased 14 per cent stake in India’s largest multiplex
chain PVR Ltd for Rs 820 crore (US$ 123 million).

 Reliance Capital, part of Anil Ambani-led Reliance Group, has announced the sale of
its radio and television broadcasting businesses under Reliance Broadcast Network to
the Zee group for Rs 1,900 crore (US$ 285 million).

 Dalian Wanda Group Co Ltd, world's largest cinema chain operator, has initiated talks
with leading multiplex owners in India such as PVR Ltd and Carnival Cinemas Ltd, to
acquire assets and enter the Indian market.

 The digital arm of New Delhi Television Limited (NDTV) namely NDTV
Convergence, that owns and operates the NDTV group's digital properties, has signed
a deal worth US$ 13-15 million with content discovery platform Taboola.

Challenges:
The 4 biggest challenges are:

1. Piracy

2. Lack of world-class film education. Other than 2 or 3 institutions, there are not
enough M&E education institutions of the top notch quality needed for a large &
diverse M&E market like India.

3. Lack of a globally merchandisable Brand / Intellectual Property

4. Lack of appeal to the non-Indian diaspora demographic

CSR
Corporate Social Responsibility (CSR, also called corporate conscience, corporate
citizenship or responsible business) is a form of corporate self-regulation integrated into
a business model. CSR policy functions as a self-regulatory mechanism whereby a business
monitors and ensures its active compliance with the spirit of the law, ethical standards and
national or international norms. With some models, a firm's implementation of CSR goes
beyond compliance and engages in "actions that appear to further some social good, beyond
the interests of the firm and that which is required by law. The binary choice between
'complying' with the law and 'going beyond' the law must be qualified with some nuance. In
many areas such as environmental or labor regulations, employers can choose to comply with
the law, to go beyond the law, but they can also choose to not comply with the law, such as
when they deliberately ignore gender equality or the mandate to hire disabled workers. There
must be recognition that many so-called 'hard' laws are also 'weak' laws, weak in the sense
that they are poorly enforced, with no or little control and/or no or few sanctions in case of
non-compliance. 'Weak' law must not be confused with Soft law. The aim is to increase long-
term profits and shareholder trust through positive public relations and high ethical standards
to reduce business and legal risk by taking responsibility for corporate actions. CSR strategies
encourage the company to make a positive impact on the environment
and stakeholders including consumers, employees, investors, communities, and others.

Proponents argue that corporations increase long-term profits by operating with a CSR
perspective, while critics argue that CSR distracts from businesses' economic role. A 2000
study compared existing econometric studies of the relationship between social and financial
performance, concluding that the contradictory results of previous studies reporting positive,
negative, and neutral financial impact, were due to flawed empirical analysis and claimed
when the study is properly specified, CSR has a neutral impact on financial outcomes.

Critics questioned the "lofty" and sometimes "unrealistic expectations" in CSR. or that CSR
is merely window-dressing, or an attempt to pre-empt the role of governments as a watchdog
over powerful multinational corporations.

Political sociologists became interested in CSR in the context of theories

of globalization, neoliberalism and late capitalism. Some sociologists viewed CSR as a form
of capitalist legitimacy and in particular point out that what began as a social movement
against uninhibited corporate power was transformed by corporations into a 'business model'
and a 'risk management' device, often with questionable results.

CSR is titled to aid an organization's mission as well as serve as a guide to what the company
represents for its consumers. Business ethics is the part of applied ethics that examines ethical
principles and moral or ethical problems that can arise in a business environment. ISO
26000 is the recognized international standard for CSR. Public sector organizations (the
United Nations for example) adhere to the triple bottom line (TBL). It is widely accepted that
CSR adheres to similar principles, but with no formal act of legislation.

CSR ACTIVITIES BY MEDIA & ENTERTAINMENT SECTOR

METHODOLOGY: To discover what the leading media organizations are doing in

terms of CSR activities, the annual reports and websites were observed for any type of CSR
disclosure. The websites are independently reviewed for all CSR activities, which were then
compared to ensure some degree of reliability. Few annual reports actually included CSR
information, while others mentioned the existence of the company’s Code of Ethics.
Therefore, the main focus of the results comes from information placed on the company’s
websites. After looking at the annual reports for any comment on CSR, the website was
searched for the existence of a social responsibility report, or pages with corporate,
governance, ethics, community responsibility codes or guidelines. From these a number of
observations were made:
ZEE: ZEE has always believed in inclusive growth where every human being is treated
equally and thus helps in the development of the society as a whole. ZEE is of the school of
thought that 'you aren't successful if you haven't given back to what you have got from'. The
Corporate Social Responsibility (CSR) policy at ZEE propounds the belief that 'a business
cannot succeed in a society that fails'.

ZEE CARE is an apex body created to manage the CSR Activities across Zee Entertainment
Enterprises limited.

CSR Focus Areas:

ZEE has identified Education and Women Empowerment as the focus area under corporate
social responsibility initiatives. The other core CSR areas on which ZEE is working are listed
below

Literacy:

By collaborating with local communities and partner organization ZEE focuses to address
literacy and Gender Equality in Education. This is a more sustainable program model, which
could be extended to over 20 schools in 2014, which would approximately benefit 5000
children studying in rural government primary schools.

Girls Education:

ZEE has partnered with Room to Read, to support Girls Education in the district of Jodhpur.
Through this program, ZEE provides educational support to 100 Girls in higher secondary
school along with Life skill trainings. As part of the initiative, ZEE Care in association with
Room to Read, is supporting construction of fully equipped 10 libraries in district of Ajmer in
Rajasthan and 10 libraries in district of Haridwar in Uttrakhand.

Women Empowerment:

The Women's Empowerment Program aims to organize women, build their capabilities,
increase their confidence, and initiate income-generating projects for creating supplementary
livelihood in the community
Social Responsibility of NDTV

1. Mission save Tiger - Throughout the world, when the population of the tiger is
diminishing day by day, all the eyes and hopes are from Asia in general and India in
particular to saving the life of the existing tigers on the one hand and increasing the
population on the other hand. In the commercial world, so called development is taking
place where in new and new industries, towns etc. are set by constructing concrete
jungles. Due to such kind of deforestation and due to the hunting / killing of tigers, the
population of tigers is decreasing day by day.

The NDTV came up with this mission with following objective:

• To create worldwide awareness about the issue of the tiger

• To convey the current facts and figure;

• To communicate the causes and possible remedies to come out with the solutions;

• To take participation from the various sections of the society and government;

• To raise the fund for the projects related to save the tigers etc.

2. Donate blanket : - This time the issue was of humanity. Instead of getting just
publicity and admiration from the public, it was direct help to the needy people. In the
last winter season the channel went through the footpaths, Slum area and the remote area
like leh & ladakh to offer the shelter of warm blanket to protect from the winter.

3. Support my school: Marching ahead and making the commitment of social

responsibility stronger, the NDTV this time entered in the field of education. In
association with Coca Cola and by taking participation of the legend of the Indian
cricket, Master blaster Sachin Tendulkar as a brand ambassador, the organization
extended support to the needy students. Since this activity has been launched recently,
the main follow up programme is upcoming in the months of June – July, wherein like
the mission save tiger throughout the day for 12 hours live programme will be carried out
 to create an awareness, to seek the support and to raise the fund for this noble cause.
Through this activity a strong and constructive step is taken not only to create literate but
educated citizens of future India. This work is very much important, especially when then
government is slowly stepping out of the responsibility.

 To touch the new hall mark of the social responsibility, the ignited minds of
NDTV has taken up the Indian Coast. Under the banner of Save Our Coast’, the
channel will come up with various environmental and social issues relating to
coasts starting from Gujarat to West Bengal.

CSR Of Network18 Media & Entertainment

Addressing identified needs of the underprivileged through initiatives directed towards:

o improving livelihood;

o alleviating poverty;

o promoting education;

o empowerment through vocational skills;

o promoting health and well‐being.

Preserve, protect and promote art, culture and heritage by:

o promoting India’s art, culture and heritage;

o conducting promotional and developmental activities / programs.

Ensuring environmental sustainability, ecological balance and protection of flora and

fauna by:

o conducting activities which promote biodiversity;

o conducting activities which promote ecological sustainability

CSR Of Inox Leisure Ltd

 Eradicating hunger, poverty and malnutrition, promoting health care (including

preventive health care) and sanitation and making available safe drinking water;

 promoting education, including special education and employment enhancing

vocation skills especially among children, women, elderly, and the differently
abled and livelihood enhancement projects;

 promoting gender equality empowering women, setting up homes and hostels for
women and orphans; setting up old age homes, day care centres and such other
facilities for senior citizens and measures for reducing inequalities faced by
socially and economically backward groups.

 ensuring environmental sustainability, ecological balance, protection of flora and

fauna, animal welfare, agroforestry, conservation of natural resources and
maintaining quality of soil, air and water;

 protection of national heritage, art and culture including restoration of buildings

and sites of historical importance and works of art; setting up public libraries;
promotion and development of traditional arts and handicrafts;

CONCLUSION

As we have seen that all the three chosen media channels have done a quite noticeable job in
the field of CSR. And with passing of time the CSR activities of all the channels are been
growing. CSR and Social Media Corporate Strategy are made for each other. Social Media is
a new way of corporate life, a new world of communication which is live and spontaneous. It
requires commitment just like Corporate Social Responsibility.
DATA ANALYSIS

CODE OF CONDUCT:

A code of conduct is a set of rules outlining the social norms and rules and
responsibilities of, or proper practices for, an individual, party or organization.

D.B Corp Ltd. Formulated

Den Networks Ltd. Formulated

Entertainment Network India Ltd. Formulated

Eros Intl Media Ltd. Formulated

HT Media Ltd. Formulated

Hathway Cable & Datacom Ltd. Formulated

Inox Leisure Ltd. Formulated

Jagran Prakashan Ltd. Formulated

NDTV Ltd. Formulated

Navneet Education Ltd. Formulated

Network18 Media & Investments Ltd. Formulated

PVR Ltd. Formulated

Siti Cable Network Ltd. Formulated

 Sun TV Network Ltd. Formulated

TV Today Network Ltd. Formulated

TV18 Broadcast Ltd. Formulated

Zee Entertainment Enterprises Ltd. Formulated

Interpretation

As per the data shown above 100% of the companies have formulated the code
of conduct/ethics.

WHISTLE BLOWER POLICY

Whistleblower policy are critical tools for protecting individuals who report activities believed to be
illegal, dishonest, unethical, or otherwise improper

D.B Corp Ltd. Formulated

Den Networks Ltd. Formulated

Entertainment Network India Ltd. Formulated

Eros Intl Media Ltd. Formulated

HT Media Ltd. Formulated

Hathway Cable & Datacom Ltd. Formulated

Inox Leisure Ltd. Formulated

Jagran Prakashan Ltd. Formulated

NDTV Ltd. Formulated

Navneet Education Ltd. Formulated

Network18 Media & Investments Ltd. Formulated

PVR Ltd. Formulated

Siti Cable Network Ltd. Formulated

Sun TV Network Ltd. Formulated

TV Today Network Ltd. Formulated

TV18 Broadcast Ltd. Formulated

Zee Entertainment Enterprises Ltd. Formulated

Interpretation

As per the data shown above 100% of the companies have formulated the
Whistle Blower Policy.
 Total Turnover (in crore rupees)
Name of the Company
2014-15

2034.68
D.B Corp Ltd.

943.471
Den Networks Ltd.

470.6548014
Entertainment Network India Ltd.

1540.756738
Eros Intl Media Ltd.

2457.3
HT Media Ltd.

1038.1
Hathway Cable & Datacom Ltd.

1016.812
Inox Leisure Ltd.

Jagran Prakashan Ltd. 1765.4911

NDTV Ltd. 433.93

Navneet Education Ltd. 962.46

3,126.60
Network18 Media & Investments Ltd.

1485.98
PVR Ltd.

613.316
Siti Cable Network Ltd.

2331.5
Sun TV Network Ltd.

TV Today Network Ltd. 499.25

TV18 Broadcast Ltd. 620.7

Zee Entertainment Enterprises Ltd. 3653.5

 Turnover
4000

3500

3000

2500

2000

1500

1000

500

Turnover
 Name of the Company Total profit after taxes (in crore rupees)

2011-12 2012-13 2013-14 2014-15 2015-16

208.4 230.6 306.2 317 300.2

D.B Corp Ltd.
7.87 44.96 5.17 -110.81 -204.94
Den Networks Ltd.
56.51 67.67 83.45 105.97 100
Entertainment Network India Ltd.
109.79 117.09 113.67 124.19 113.19
Eros Intl Media Ltd.
159.82 24.15 155.64 113.66 78.76
HT Media Ltd.
-50.56 3.96 -122.2 -174.95 -170.65
Hathway Cable & Datacom Ltd.
10.28 18.45 36.94 24.76 77.64
Inox Leisure Ltd.
179.64 222.24 233.04 223.55 255.02
Jagran Prakashan Ltd.
-19.15 -20.34 -53.55 -25.58 -21.61
NDTV Ltd.
83.52 111.06 113.18 129.3 127.8
Navneet Education Ltd.
-178.96 -30.72 76.28 -68.75 -90.96
Network18 Media & Investments Ltd.
28.11 54.85 57.87 13.62 114.14
PVR Ltd.
-82.14 -61.84 -102.31 -117.76 -21.03
Siti Cable Network Ltd.
694.65 683.34 716.96 737.23 849.28
Sun TV Network Ltd.
10.52 12.21 61.32 81.03 94.3
TV Today Network Ltd.
9.24 10.22 59.21 14.63 122.89
TV18 Broadcast Ltd.
489.7 640.7 772.3 831.8 859.3
Zee Entertainment Enterprises Ltd.
 Profit After Tax
1000

800

600

400

200

-200

-400

2011-12 2012-13 2013-14 2014-15 2015-16

 Name of the Company Total Spending on CSR (in crore rupees)

2013-14 2014-15 2015-16

3.7 4.6
5
D.B Corp Ltd.
0.5 0.6 1.16
Den Networks Ltd.
1.37 0.71 2
Entertainment Network India Ltd.
1.5 1 0.1
Eros Intl Media Ltd.
4 2.72 2.45
HT Media Ltd.
- - -
Hathway Cable & Datacom Ltd.
0.43 1 1
Inox Leisure Ltd.
2.62 6 6
Jagran Prakashan Ltd.
- - -
NDTV Ltd.
5 3 3.58
Navneet Education Ltd.
1.8 0.98 1.8
Network18 Media & Investments Ltd.
0.56 1 1.65
PVR Ltd.
- - -
Siti Cable Network Ltd.
1.07 20.79 21.37
Sun TV Network Ltd.
0.56 0.93 1.64
TV Today Network Ltd.
0.52 0.5 0.75
TV18 Broadcast Ltd.
5.08 19.3 22.83
Zee Entertainment Enterprises Ltd.
 CSR Expenditure

25

20

15

10

2013-14 2014-15 2015-16

FINDINGS

We studied on Media & Entertainment sector in which we studied many things about each and
every company like; turnover of the company, profit after tax, corporate social responsibility
(CSR), code of conduct etc.

We found:

1. Every company has its code of conduct/code of ethics.

2. Every company listed has formulated its own whistle blower policy.

3. Some companies which have their profit after taxes in negative (loss) from 2011-2016:
a. NDTV ltd (2011-12, 2012-13, 2013-14, 2014-15, 2015-16)
b. Network18 Media & Investments Ltd. (2011-12, 2012-13, 2014-15, 2015-16)
c. Siti Cable Network Ltd. (2011-12, 2012-13, 2013-14, 2014-15, 2015-16)
d. Hathway Cable & Datacom Ltd. (2011-12, 2013-14, 2014-15, 2015-16)

4. There are top 6 companies which have greatest turnovers:

 D.B Corp Ltd.
 Zee Entertainment Enterprises Ltd.
 Network18 Media & Investments Ltd.
 Jagran Prakashan Ltd.
 HT Media Ltd.
 Sun TV Network Ltd.

5. Majority of companies focuses on CSR activities like:

 Women Empowerment,
 Skills Development,
 Healthcare,
 Education,
 Environmental Sustainability
Conclusion
The Indian Media and Entertainment (M&E) industry is a sunrise sector for the economy and
is making high growth strides. Proving its resilience to the world, the Indian M&E industry is
on the cusp of a strong phase of growth, backed by rising consumer demand and improving
advertising revenues. With regards to the compilation of the data in the report, there are
various conclusions that can be drawn. The companies which do not have higher
turnover/profits must formulate their policies keeping in mind their competitors and
prevailing market conditions and demand. SWOT analysis can be a great solution to their
problems to earn higher turnover/profits every year. As we have seen that all the three chosen
media channels have done a quite noticeable job in the field of CSR. And with passing of
time the CSR activities of all been growing. CSR and Social Media Corporate Strategy are
made for each other. Social Media is a new way of corporate life, a new world of
communication which is live and spontaneous. It requires commitment just like Corporate
Social Responsibility.
Reference:

https://www.ibef.org/industry/media-entertainment-india.aspx

http://tiger.ndtv.com/aboutourcampaign.aspx.

http://www.ndtv.com/supportmyschool.

http://www.network18online.com/reports/policies/Network18-Policy-on-
Corporate-Social-Responsibility.pdf

http://cdn.inoxmovies.com/Downloads/bb5a1b3e-abd5-4c62-bdd4-
a420d098b97c.pdf